Qwest Posts Profit on Wireless Sale

Qwest Communications International Inc. on Tuesday reported a profit after realizing a gain on the sale of wireless assets.

The company reported earnings of $57 million, or net income per diluted share of 3 cents, compared to a loss of $310 million in the quarter a year ago. Revenue declined year-over-year from $3.48 billion to $3.45 billion.

“We have strengthened our operating performance and improved our competitive position while pursuing opportunities to drive future growth,” Qwest Chairman and CEO Richard Notebaert said a day after Qwest revealed plans to drop out of a bidding war for MCI Inc.

As previously announced, Qwest closed on its wireless asset sale of PCS licenses and related wireless network assets to Verizon Wireless for $418 million in cash during the first quarter. The company recorded a gain of $257 million, or 14 cents per share, in connection with the sale.

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